SPEL Semi Conductor Limited has formally notified BSE Limited about the delay in submission of its unaudited standalone financial results for the quarter ended December 31, 2025. The company's disclosure, dated February 13, 2026, cites operational challenges that have prevented timely compliance with regulatory requirements.

Reason for Delay

The company has attributed the delay to a financial crisis that resulted in temporary suspension of plant operations from January 14, 2026. This operational disruption has prevented the completion of the audit process required for the quarterly financial results.

Regulatory Compliance

The disclosure has been made pursuant to Regulation 33 of the SEBI (LODR) Regulations 2015 and circular no. CIR/CFD/CMD-1/142/2018 dated November 19, 2018. The company was required to submit its unaudited standalone financial results within the prescribed timeline under these regulations.

SPEL Semi Conductor had previously communicated about the production temporary suspension to BSE on January 14, 2026. The current communication serves as a formal disclosure of reasons for the delay in financial results submission, as required under regulatory guidelines.

Company Response

The company has requested BSE to consider the disclosed reasons as compliance with the requirements specified in the SEBI circular. The communication was signed by P. Balamurugan, Head Operations & Whole-Time Director (DIN: 07480881), emphasizing the company's commitment to maintaining transparency with regulatory authorities and stakeholders despite operational challenges.

SPEL Semiconductor Limited , a manufacturer of integrated circuits, has reported a net loss of Rs 18.05 crore for the quarter ended September 30, 2025. The company's financial results, which were approved by the Board of Directors on November 14, 2025, reveal ongoing operational challenges and efforts to address them.

Financial Performance

The company's financial performance for the quarter shows significant stress:

SPEL Semiconductor's revenue from operations decreased from Rs 193.39 lakh in Q1 FY2026 to Rs 152.91 lakh in Q2 FY2026. The total income also saw a decline from Rs 235.62 lakh to Rs 200.69 lakh over the same period.

Auditor's Concerns

The statutory auditors have raised going concern doubts due to the company's continued losses and negative cash flows. This highlights the serious financial challenges faced by SPEL Semiconductor.

Operational Restructuring and Fund Infusion

To address these challenges, SPEL Semiconductor is undertaking several measures:

1. Restructuring of operations to improve efficiency and reduce costs.
2. Proposed sale of surplus land to infuse necessary funds.
3. Availing lease rental loan enhancement to improve liquidity.

Board Decisions

In the board meeting held on November 14, 2025, the company also approved the allotment of Non-convertible, Cumulative, Redeemable Preference Shares of face value Rs. 100/- each, amounting to Rs. 6.95 crore, to Dr. A.C Muthiah. This allotment is in lieu of borrowings extended to the company, indicating efforts to restructure its debt.

Inventory Write-off

A significant portion of the exceptional items for the quarter (Rs 1,134.62 lakh) is attributed to inventory write-offs. The company noted that these finished goods were built during the pandemic period, suggesting potential obsolescence or reduced market demand for these products.

Future Outlook

While SPEL Semiconductor is taking steps to address its financial difficulties, the company's ability to turn around its operations remains uncertain. The management's efforts to restructure operations, infuse funds through asset sales, and enhance lease rental loans will be crucial in determining the company's future trajectory.

Investors and stakeholders will likely be watching closely to see if these measures can effectively address the auditor's going concern doubts and improve the company's financial position in the coming quarters.